The Municipality Prepares for Future Electricity Demand by Commissioning a New Substation near the Industrial Area
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The Estepona municipal government is awarding the concession for a plot of land where the new facilities will be constructed and operated. During the concession period, the city will receive an annual fee. The Estepona City Council is awarding the concession for a municipal plot situated adjacent to the Industrial Estate to build a new electricity transformer substation. The purpose of this project is to anticipate future service requirements that may arise in the municipality due to population growth and new urban and industrial developments. In January 2021, the City Council approved the use of this land for facilities and services that are compatible, allowing for the construction of such facilities. The chosen bidder will be responsible for preparing the land, carrying out the necessary construction works, providing adequate equipment for the substation, and meeting the electricity supply needs of all sectors under the Substation Execution Agreement. By establishing this new substation, the City Council is preparing for the future electricity demands driven by the city’s expansion in terms of population, urban projects, and the industrial area. The concession agreement will allow the winning bidder to occupy and operate the 2,418.80 square meters of land for private use. Additionally, they will need to sign an agreement with Endesa. Until the agreement is finalized, the concessionaire will be in charge of installations, maintenance, insurance, and once signed, Endesa will take over. Once completed, the substation will not be owned by the municipality. The concession for this land will last for a maximum of 75 years, with a non-extendable deadline from the contract formalization. The winning bidder will have 36 months to finish the construction work and make the facilities available to the electricity company. They will also need to pay an annual fee of at least 9,046.31 euros to the Estepona Town Hall, along with applicable taxes. The selection of the bidder will be based on the most economically advantageous offer for the municipal finances. The facilities and their components must meet all legal, administrative, and technical requirements for commissioning, with the winning bidder covering the associated costs.

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Stacey Watson

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